Signature Metals

The African gold explorer has hit some important milestones in the June quarter that helped its share price jump 25 per cent from June’s 11-month low of 1.6¢, but
Signature Metals
has more to do to win support, given that some are frustrated by its overall track record. Stock Resource acknowledges that the stock is looking cheap but it suspects that management will struggle to hit its target to produce 35,000 ounces of gold a year. It is also unsure if the cash flow from operations will support expansion plans and that could force it to come back to the market for extra cash. Stock Resource is urging investors to sell.